Others put their values at between $16m and $18m apiece on a charter-free basis.

But while the sellers expressed a preference for straight sales on the ships, they also said one, three and six-year sale and charterback deals on some of the vessels would be considered.

Charter deal bonus

Brokers said securing one of these could increase the value on the six older ships to nearer $20m, depending on the charter rate and terms offered.

Some commented that the timing of the sale is interesting in that it is three to four years ahead of when the sale and purchase agreements with NWS customers are due to expire.

One broker said the LNG carriers — widely seen as small, less efficient and under-powered compared with modern vessels — are now not needed as much as the project’s equity partners use their own tonnage to lift cargoes.

“It’s a phase-out,” another said, suggesting the NWS shipowner partners are looking to cash in on any interest in secondhand LNG tonnage that might be out there in the market rather than having to handle the disposal, and possible scrap sales, of the vessels by themselves.

TradeWinds learned that the ships are now all managed by Shell after BP relinquished their management.

There are mixed feelings about the time it might take to shift the vessels. Some observers feel the industry grouping that controls the ships may already have agreed on their tactics for disposing of them.

But others said the array of owners involved might lengthen the process once offers are received.

There have been relatively few sales of secondhand LNG carriers for the industry to benchmark prices. To date, South Korea’s Sinokor Merchant Marine has been a major buyer, amassing a fleet of 13 ships, with other vessels being purchased largely for conversion projects.

Others put their values at between $16m and $18m apiece on a charter-free basis.

But while the sellers expressed a preference for straight sales on the ships, they also said one, three and six-year sale and charterback deals on some of the vessels would be considered.

Charter deal bonus

Brokers said securing one of these could increase the value on the six older ships to nearer $20m, depending on the charter rate and terms offered.

Some commented that the timing of the sale is interesting in that it is three to four years ahead of when the sale and purchase agreements with NWS customers are due to expire.

One broker said the LNG carriers — widely seen as small, less efficient and under-powered compared with modern vessels — are now not needed as much as the project’s equity partners use their own tonnage to lift cargoes.

“It’s a phase-out,” another said, suggesting the NWS shipowner partners are looking to cash in on any interest in secondhand LNG tonnage that might be out there in the market rather than having to handle the disposal, and possible scrap sales, of the vessels by themselves.

TradeWinds learned that the ships are now all managed by Shell after BP relinquished their management.

There are mixed feelings about the time it might take to shift the vessels. Some observers feel the industry grouping that controls the ships may already have agreed on their tactics for disposing of them.

But others said the array of owners involved might lengthen the process once offers are received.

There have been relatively few sales of secondhand LNG carriers for the industry to benchmark prices. To date, South Korea’s Sinokor Merchant Marine has been a major buyer, amassing a fleet of 13 ships, with other vessels being purchased largely for conversion projects.